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Take a quick overview of the major changes planned in financial services regulation with the Reform Tracker. Entries are colour-coded to reflect their current status: from blue-sky consultations to imminent implementation. Use the search bar and filters below to narrow your focus by country and sector. Alternatively, use the Regulatory Timeline tool for more information on timetables and deadlines.

Blue: No legislative proposal as of yet

Green: Legislative proposals published but not yet adopted/finalised

Yellow: Legislation in force but main substantial provisions not yet effective

Red: Legislation in force and main, substantial provisions now effective

Packaged Retail and Insurance-based Investment Products (PRIIPs) Regulation (1286/2014) has been adopted but is not yet in force. The European Commission has delayed the entry into force by one year (previously expected to enter into force 31 December 2016). The PRIIPs Regulation and Delegated Regulations apply as of 1 January 2018.

Last updated:

02/01/2018

Overview/summary:

The Regulation on Key Information Documents for Investment Products (1286/2014) requires that intermediaries provide retail customers with a short, standard form Key Information Document (KID) before they invest in any Packaged retail and insurance-based investment products (PRIIPs, formerly PRIPs).

PRIIPs is a ‘horizontal’ category of products that may take a variety of different forms (including funds, structured deposits, some pensions and insurance products) but which fulfil similar functions: capital accumulation over a medium-to-long term at more than the risk-free rate, where the investor does not hold assets directly but by means of some sort of ‘wrapper’. The Regulation was part of a wider legislative package on such products, also including IDD and UCITS V.

The PRIIPs regulation entered into force on 29 December 2014. The European Commission has delayed the entry into force by one year (previously expected to enter into force on 31 December 2016). This followed on from the European Parliament's rejection of RTS relating to the KID and calls from Member States to postpone the regulation. The European Commission is now working with the ESAs to resubmit the RTS to address some of the concerns raised (certain revised RTS were met with no objection in April 2017). It is estimated that the revised PRIIPs framework should be in place during the first half of 2017 and apply as of 1 January 2018.

European Parliament voted to adopt amendments to legislative proposal for a Regulation on KIDs for PRIPs.

4 April 2014

Political agreement announced on PRIPS (now known as 'PRIIPs', but with a similar scope as before).

9 December 2014

Regulation No 1286/2014 (PRIIPS) published in the Official Journal to enter into force 20 days after publication (29 December 2014).

13 December 2014

A corrigendum to the text of the PRIIPS KID Regulation was published in the OJ correcting the date in Article 8(5) regarding the date by which the ESAs must submit the draft regulatory technical standards to the Commission (from 31 March 2015 to 31 March 2016).

23 June 2015

The European Supervisory Authorities published a technical discussion paper on risk, performance scenarios and cost disclosures for KIDs for PRIIPS.

3 July 2015

EIOPA delivered its technical advice on criteria and factors to be taken into account in applying product intervention powers under the PRIIPS regulation to the European Commission.

20 August 2015

The European Supervisory Authorities (EBA/EIOPA/ESMA) published responses to the technical discussion paper on risks, performance scenarios and cost disclosures on KIDs for PRIIPS.

14 September 2015

Steven Maijoor, Chair of ESMA, delivered a statement to ECON in which he updated the committee on the work being done on the regulatory technical standards (RTS) under PRIIPS.

9 November 2015

The European Commission published a study - Consumer testing study of the possible new format and content for retail disclosures of packaged retail and insurance-based investment products.

11 November 2015

The ESAs launched a Joint Consultation Paper on PRIIPs Key Information Documents to gather stakeholder views on proposed rules on the content and presentation of the Key Information Documents (KID).

6 January 2016

ESAs published corrections to errata found in formulae in Joint Consultation Paper on PRIIPs KID.

6 January 2016

Insurance Europe published a note regarding concerns over the short timeframe in which the industry must implement the KID for PRIIPs: Insurance Europe: PRIIPs implementation timeframe – extension required.

10 February 2016

ESMA published responses to its earlier consultation on KID under PRIIPs. Draft RTS were submitted to the Commission for approval.

11 March 2016

ESMA's Securities and Markets Shareholder Group published text of a letter it sent to Jonathan Hill and others which raised concerns over aspects of the PRIIPs Regulation, specifically the elimination of past performance in the contents of the KID, and its replacement by “future performance scenarios”. It urges amendments to the Level 1 Regulation before it enters into force on 31 December 2016.

ESMA published its responses to the Commission's Green Paper on retail financial services: including responses in relation to IDD, MiFID II, PRIIPs, UCITS, personal pension products and covered bonds, redress and the Impact of digital technologies on the retail financial markets.

26 May 2016

Insurance Europe published a new paper highlighting technical concerns over final draft RTS.

30 June 2016

European Commission Delegated Regulation with regard to the presentation, content, review and revision of key information documents and the conditions for fulfilling the requirement to provide such documents has been adopted.

1 July 2016

Joint letter on the supervisory convergence work by the ESAs on PRIIPs was published - specifically noting the work on level 3 materials.

15 July 2016

Commission Delegated Regulation of 14.7.2016 supplementing Regulation (EU) No 1286/2014 of the European Parliament and of the Council with regard to product intervention has been adopted by the European Commission.

1 September 2016

ECON has unanimously rejected the Commission's investor protection proposals, saying they were "misleading" and "flawed", with much criticism directed at the KID.

Further past dates are accessible via the news feed on the PRIIPs page.

FCA: PS14/9 (with final rules) published - relates to all firms that are subject to CASS because they conduct investment business and hold client money, custody assets, collateral and or mandates in relation to that investment business. This includes loan-based crowdfunding firms who became subject to client money rules in CASS 7 by the changes published in PS14/4. CASS rules changes following PS14/9 came into force in three phases: 1 July 2014, 1 December 2014 and 1 June 2015. Firms could choose to begin complying with any of the requirements introduced by PS14/9 before the relevant requirement came into force. FCA Business Plan 2016/17 notes client assets is part of ongoing work. Moreover, in March 2016, HM Treasury and the FCA have lauched consultations relating to the Bloxham report and SAR.

Last updated:

21/02/2017

Overview/summary:

The Client Assets Sourcebook (CASS) is the section of the FCA handbook containing the requirements relating to holding client assets and client money. The FCA consulted on substantial changes to these rules from July-August 2013 (CP13/5); in particular, a new and faster system for distributing client money in the event of an insolvency (the 'speed proposal'). This was complicated by the wide-ranging review of the Special Administration Regime (SAR) - the Bloxham report - being undertaken at the same time. Policy Statement 14/9 (PS14/9), including final changes to CASS, was published in June 2014; it was revealed there that the FCA has postponed consideration of the 'speed proposal' - there have been no further developments regarding the ‘speed proposal’ and it has, ostensibly, been dropped.

The rules in PS14/9 affect all firms that are subject to CASS because they conduct investment business and hold client money, custody assets, collateral and or mandates in relation to that investment business. This includes loan-based crowdfunding firms who became subject to client money rules in CASS 7 by the changes published in PS14/4.

The FCA’s Business Plan 2015/16 highlights that the FCA will review the client money distribution rules in line with HM Treasury’s SAR review. The FCA published final client money rules for insurance intermediaries in 2015. Additionally, the FCA will consider the impact of international client assets initiatives and EU legislation (such as EMIR) on the CASS sourcebook and make any necessary amendments.

The FCA's Business Plan 2016/17 notes that part of prudential work will include continuing 'to ensure firms have appropriate mechanisms to protect client assets to ensure consumers are protected in the event of failure'. The FCA also highlights that conflicts of interest/client money remain a cause of risk across markets and will work with firms to ensure robust policies are in place to mitigate this risk.

In March 2016, further to the Bloxham report, HM Treasury published Reforms to the investment bank special administration regime. Topics covered in this consultation paper include transfers of client assets; the SAR bar date mechanism; interaction of SAR and CASS; procedural and administrative proposals (including an enhanced role for FSCS) and lessons learned from case law. HM Treasury has also published a draft SI (The Investment Bank (Amendment of Definition) and Special Administration (Amendment) Regulations 2016).

In addition, the FCA published DP16/2: CASS 7A and the Special Administration Regime Review - it seeks feedback on CASS 7A, and how these rules work with the Special Administration Regime (SAR). It also sets out the FCA’s response to the recommendations in the Bloxham review which had been addressed to the FCA and seeks industry views on the discussion points raised and contains FCA’s response to the ‘speed proposal’, which was proposed in CP13/5.

In January 2017 the FCA launched a consultation CP17/2 on CASS 7A and the SAR. The paper seeks feedback on proposed changes to the CASS rules affecting the return of client assets, against the backdrop of the amendments to the SAR Regulations; explains why certain proposals in CP13/5 and DP16/2 are not being taken forward and seeks feedback on minor consequential changes to CASS 7 and CASS 7A to address the forthcoming indirect clearing requirements under EMIR and MiFIR regulatory technical standards.

Publications by date:

July 2013

CP 13/5 published.

April 2013

HM Treasury publishes consultation on the special administration regime for payment and settlement systems (SAR).

11 October 2013

Responses to CP 13/5 required.

January 2014

HM Treasury published the Final Review of the Investment Bank Special Administration Regulations 2011 conducted by Peter Bloxham.

10 June 2014

PS 14/9 published.

1 July 2014

Some PS14/9 rule changes came into force.

1 December 2014

Certain PS 14/9 rules and guidance came into force relating to the provision of information to or obtaining the agreement of new clients and the documenting of agreements and arrangements with any new counterparties with whom firms deposit or place custody assets or client money.

Amendments on benchmark manipulation added to MAD II. On 29 June 2016 the Regulation was published in the Official Journal of the EU, and the majority of provisions were in force and in effect from 1 January 2018.

Last updated:

02/01/2018

Overview/summary:

The proposed Regulation on indices used as benchmarks in financial instruments and financial contracts is part of the EU-level response to revelations of LIBOR and EURIBOR manipulation in 2012. The Regulation would require improved governance and controls for benchmark-setting processes; detailed provisions concerning the data and methodologies to be used; and external regulatory supervision of benchmarks. Amendments to the recast Market Abuse Directive proposal (MAD II) were also adopted, making the manipulation of benchmarks a criminal offence.

The proposed Regulation was adopted by the European Commission and the European Parliament on 28 April 2016. On 17 May 2016 the Council formally adopted the Regulation. On 29 June 2016 the Regulation was published in the Official Journal of the EU.

To see our Reform Tracker item on Benchmarks specific to the UK please click here.

EU Council issues press release backing European Commission proposal to fight against the manipulation of financial benchmarks.

March 2015

Vote in Committee, 1st reading/single reading.

April 2015

Committee report tabled for plenary, 1st reading/single reading.

19 May 2015

European Parliament agrees negotiating mandate for regulation of financial benchmarks.

25 November 2015

Council of the EU, European Parliament, and the Commission reached an agreement on the on the proposed Regulation on financial benchmarks. A compromise was reached on the third country regime.

9 December 2015

The Permanent Representatives Committee approved, on behalf of the Council, a compromise agreed with the European Parliament. The regulation will now be submitted to the European Parliament for a vote at first reading, and to the Council for final adoption.

15 February 2016

ESMA published a discussion paper on implementation of the forthcoming Benchmarks Regulation.

23 March 2016

EBA published Decision regarding the formula to be used by creditors when calculating the benchmark rate under the Mortgage Credit Directive.

1 April 2016

FMLC published its response to ESMA's consultation paper of February 2016. The report highlights areas of legal uncertainty.

8 April 2016

ESMA published responses received regarding the Discussion Paper on Benchmarks Regulation.

28 April 2016

European Parliament adopted the proposed Regulation.

12 May 2016

Council published an 'I' note in respect of the proposed Benchmarks Regulation.

17 May 2016

Council formally adopted the proposed Regulation.

27 May 2016

ESMA launched a consultation on draft technical advice under the Benchmarks Regulation.

10 June 2016

Council of EU published revised text of the Regulation.

29 June 2016

Regulation was published in the OJ.

19 July 2016

FSB published a progress report on implementation of its July 2014 recommendations to reform major interest rate benchmarks.

12 August 2016

Commission Implementing Regulation (EU) 2016/1368 of 11 August 2016 establishing a list of critical benchmarks used in financial markets pursuant to Regulation (EU) 2016/1011 of the European Parliament and of the Council has been published in the Official Journal.

29 September 2016

ESMA launched a consultation on draft technical standards under the Benchmarks Regulation.

3 October 2016

ESMA has developed model written arrangements that may be used by administrators of critical benchmarks according to Article 46(6) of the Benchmarks Regulation.

Commission Delegated Regulation (EU) 2016/2021 of 2 June 2016 supplementing Regulation (EU) No 600/2014 of the European Parliament and of the Council on markets in financial instruments with regard to regulatory technical standards on access in respect of benchmarks has now been published in the Official Journal.

Bail-in powers under Financial Services (Banking Reform) Act abandoned, now introduced under BRRD. The UK applied bail-in requirements from 1 January 2015 (with the exception of provisions relating to MREL and Article 55 of the BRRD). Requirements on contractual recognition of bail-in were introduced on 1 January 2016.

Last updated:

21/12/2016

Overview/summary:

‘Bail-in’ bonds are a form of long-term unsecured debt, which could be forced by the regulator (exercising its ‘bail-in power’) to bear losses on a bank going into resolution (potentially along with other unsecured liabilities –the ‘secondary bail-in power’). This would be achieved either by writing down the debt, or ‘converting’ it into equity.

Bail-in provisions are included in the EU Bank Recovery and Resolution Directive (BRRD) (q.v.), but this was pre-empted in the UK by bail-in provisions which were included in the Financial Services (Banking Reform) Act 2013. However, these have not come into force. Instead, bail-in provisions which are compliant with BRRD were introduced by the UK on 1 January 2015 (with the exception of provisions relating to MREL and Article 55 of the BRRD). Requirements on contractual recognition of bail-in were introduced on 1 January 2016.

The UK Government has decided to delay the application of MREL to 1 January 2016 as it expects major policy developments in the interim from the Financial Stability Board on total loss absorbing capacity.

This reform tracker item is no longer updated.

Publications by date:

12 September 2011

Final report of the Independent Commission on Banking Reform (i.e. the Vickers report) published.

July 2013

HMT consultation on secondary legislation to be made under the proposed Banking Reform Bill.

18 December 2013

Financial Services (Banking Reform) Act receives Royal Assent.

8 October 2013

Bank of England publishes draft annex to the Special Resolution Regime code of practice on the bail-in power.

1 March 2014

Some of the provisions related to bail-in come into force, although the actual bail-in power itself does not come into force.

13 March 2014

HM Treasury begins consultation on the bail-in power, including draft secondary legislation on compensation for bail-in bondholders; extending bail-in powers to building societies; and ‘protected arrangements’ to be safeguarded from use of bail-in.

July 2014

HM Treasury published consultation paper on the transposition of BRRD. It was announced they would not be commencing the bail-in legislation from the Banking Reform Act, but instead will now be introducing the bail-in powers which are compliant with the BRRD.

August 2014

FCA published a consultation paper proposing changes to their Handbook that are required in order to transpose BRRD into the UK regulatory regime for the investment firms that the FCA regulates prudentially (IFPRU 730k firms) as well as certain group entities that fall within the scope of BRRD.

16 January 2015

FCA publishes Policy Statement PS15/2 on the main issues arising from their earlier CP14/15 on BRRD and it sets out final rules to transpose BRRD into the UK’s regulatory regime.

January 2015

PRA publishes Policy Statement PS1/15 on implementing the BRRD.

March 2015

HM Treasury published the response to its earlier consultation on the transposition of BRRD.

25 November 2015

PRA issued a modification by consent relating to rules in the Contractual Recognition of Bail-in Part of its Rulebook. In doing so, the PRA has transposed Article 55 of the Bank Recovery and Resolution Directive (2014/59/EU) (BRRD).

FCA published a modification by consent relating to the contractual bail-in rules in chapter 11 of its Prudential sourcebook for Investment Firms (IFPRU). The FCA has transposed Article 55 (re: contractual recognition of bail-in) of the Bank Recovery and Resolution Directive (2014/59/EU) (BRRD) through the rules in IFPRU 11.6.

FCA published a note aimed at entities defined as IFPRU-730k firms on its recent assessment of firms’ recovery plan with BRRD. It reports generally good submissions, but provides details on some specific areas for improvement, including interconnectedness, indicators, definitions of core business and critical functions, crisis management arrangements and options/scenarios. FCA urges firms to review and ensure the effectiveness of their underlying governance and risk management arrangements as well as their recovery plans.

20 May 2016

The following Delegated Regulation was published in the OJ:

Commission Delegated Regulation (EU) 2016/778 of 2 February 2016 supplementing Directive 2014/59/EU of the European Parliament and of the Council with regard to the circumstances and conditions under which the payment of extraordinary ex post contributions may be partially or entirely deferred, and on the criteria for the determination of the activities, services and operations with regard to critical functions, and for the determination of the business lines and associated services with regard to core business lines.

23 May 2016

European Commission adopted two Delegated Regulations with regard to regulatory technical standards specifying the criteria relating to the methodology for setting the minimum requirement for own funds and eligible liabilities and on regulatory technical standards for methodologies and principles on the valuation of liabilities arising from derivatives.

FCA published GC16/5: Proposed guidance on wind-down planning.

1 June 2016

Commission Delegated Regulation (EU) 2016/860 of 4 February 2016 specifying further the circumstances where exclusion from the application of write-down or conversion powers is necessary under Article 44(3) of Directive 2014/59/EU of the European Parliament and of the Council establishing a framework for the recovery and resolution of credit institutions and investment firms was published in the Official Journal.

2 June 2016

ESMA published a statement reminding firms of their responsibility to act in their clients’ best interests when selling bail-in-able financial instruments and which emphasises that firms must comply with their obligations under MiFID.

Commission Implementing Regulation (EU) 2016/962 of 16 June 2016 laying down implementing technical standards with regard to the uniform formats, templates and definitions for the identification and transmission of information by competent authorities and resolution authorities to the European Banking Authority according to Directive 2014/59/EU of the European Parliament and of the Council, was published in the OJ.

29 June 2016

PRA published PS17/16: The contractual recognition of bail-in: amendments to PRA rules/SS7/16: The contractual recognition of bail-in: impracticability.

2 August 2016

The House of Commons Treasury Select Committee published a letter sent to the PRA regarding disclosures and bail-in.

8 November 2016

Bank of England/PRA published a response document to the earlier December 2015 on MREL.

Further past dates are accessible via the RegZone recovery and resolution newsfeed here.

FATCA in effect, applying to withholdable payments made on or after 1 January 2013.

Last updated:

29/11/2016

Overview/summary:

The Foreign Account Tax Compliance Act (FATCA) is a US Congressional Act designed to target offshore evasion by identifying US citizens receiving unreported income outside the US. International co-operation with FATCA was obtained by means of various intergovernmental agreements; under these agreements, financial institutions in the EU (and elsewhere) are required to report identifying information and account details for any US account holders to national authorities (e.g. HMRC in the UK), who in turn pass this information on to the US Internal Revenue Service.

France, Germany, Italy, Spain, UK and US announce publication of the Model Intergovernmental Agreement to Improve Tax Compliance and to Implement FATCA.

12 September 2012

(UK) UK-US FATCA Agreement signed. End of 2012: UK draft implementing legislation published. The IGA reduces some of the administrative burden of complying with the US regulations, and provides a mechanism for UK financial institutions to comply with their obligations without breaching the data protection laws.

28 January 2013

Final US Regulations published.

31 May 2013

(UK) Further draft regulations and guidance notes published by HMT.

12 July 2013

The IRS issued a notice providing for an effective six month delay for all substantive provisions.

IRS published Notice 2014-33 (IRB 2014-21) announcing a transition period for the purposes of IRS enforcement and administration with respect to the implementation of FATCA by withholding agents, foreign financial institutions, and other entities.

(UK) HMRC has published revised guidelines on the implementation of FATCA.

7 October 2014

IRS published Notice 2014-59 on the modified applicability of dates for the standards of knowledge applicable to a withholding certificate or documentary evidence to document certain payees and the circumstances under which a withholding agent or payor may rely on documentary evidence provided by a payee instead of a withholding certificate to document the foreign status of the payee.

1 December 2014

IRS published Announcement 2014-38 update on jurisdictions treated as of they had an IGA in effect.

1 January 2015

US IRS deadline for reporting Model 1 FFIs to ensure that they are included on the IRS FFI list.

26 March 2015

(UK) HM Treasury published summary of responses regarding their earlier consultation on implementing agreements under the global standard on automatic exchange of information to improve international tax compliance.

The Competent Authority of the United States has signed Competent Authority Arrangements (CAA) with the Competent Authorities of Australia and the United Kingdom.

20 November 2015

The International Tax Compliance (Amendment) Regulations 2015/1839 entered into force. The Regulations give effect to agreements and arrangements reached between the UK and other jurisdictions to improve international tax compliance.

3 May 2016

US Court dismisses case against FATCA disclosures.

12 May 2016

(UK) HMRC published in final form its International Exchange of Information Manual. The IEIM incorporates in one place HMRC’s guidance on FATCA, the OECD’s Common Reporting Standard, the EU’s Council Directive on Administrative Cooperation and the UK’s Inter-Governmental Agreement with the Crown Dependencies and Overseas Territories.

30 June 2016

This date marks the end of the two-year 'grace period' for compliance with FATCA granted by the IRS. From this date, foreign FIs without a validated FATCA classification will default to a ‘withholding’ status.

Ring-fencing powers in the Financial Services (Banking Reform) Act not yet in force; the UK Government has stated its intention for ring-fencing to take effect from 1 January 2019.

Last updated:

02/05/2017

Overview/summary:

The Financial Services (Banking Reform) Act 2013, intended to implement the recommendations of the 2012 Vickers Report, introduced a requirement that a ‘ring-fenced body’, which carries on the regulated activity of accepting customer deposits, should not carry out any ‘excluded activities’, such as dealing in investments as principal (or anything else the Treasury might designate as such). The Act also provides the FCA and PRA with certain rulemaking and discretionary powers. Two pieces of secondary legislation made by HM Treasury in 2014 specifies that institutions which have more than £25 billion of core deposits from individuals and small businesses will be subject to ring-fencing requirements. The secondary legislation allows large organisations and high net worth individuals to place deposits outside ring-fenced bodies if they so choose. The FCA is required under secondary legislation to make disclosure rules applying to entities which are not ring-fenced but sit within banking groups which include a ring-fenced body.

Both the FCA and PRA consulted throughout 2015 on aspects regarding implementation of ring-fencing in the UK. Feedback, final and near final rules, and further consultation papers were published by the regulators in 2016. In February 2017, the PRA issued PS3/17: The implementation of ring-fencing: reporting and residual matters – responses to CP25/16 and Chapter 5 of CP36/16. In March HM Treasury published a policy paper on ring fencing.

Please see the entry on ‘Ring-fencing (EU) and the Liikanen Report’ for the EU-wide regime proposed by the European Commission’s draft Regulation on structural measures improving the resilience of EU credit institutions, based on the 2012 Liikanen Report.The outcome of this legislative process may affect aspects of the UK’s implementation of ring-fencing: notably, the Commission proposes to allow a derogation from the separation requirements for credit institutions covered by national legislation that has an equivalent effect (subject to a number of requirements).

The Financial Services and Markets Act 2000 (Banking Reform) (Pensions) Regulations 2015 (SI 2015/547) was published with an explanatory memorandum.

May 2015

PRA published PS10/15 including feedback to CP19/14 and near-final versions, of the new Ring-fenced Bodies Part to the PRA Rulebook and supervisory statements on RFBs' legal structure and on continuity of services and facilities.

July 2015

FCA launched CP15/23 regarding disclosures that non-RFBs should make to customers that are individuals.

PRA launched CP37/15 regarding prudential requirements, intragroup arrangements and the use of FMIs.

PRA launched CP38/15 regarding the creation of a new framework for firms to ensure the continuity of critical shared services.

4 March 2016

FCA published FG16/1: Guidance on the FCA’s approach to the implementation of ring-fencing and ring-fencing transfer schemes.

PRA: published PS10/16: Implementation of ring-fencing: the PRA’s approach to ring-fencing transfer schemes.

24 March 2016

FCA published PS16/9: Ring-fencing: disclosures to consumers by non-ring-fenced bodies.

18 April 2016

UK Treasury Select Committee published the text of a letter from Mark Carney to TSC with regard to what is described as a“disagreement” between Sir John Vickers and FPC over the implementation of the systemic risk buffer and the wider framework for bank capital. TSC states that it intends to open a new inquiry on UK capital standards and further details will be published shortly.

20 April 2016

The Financial Services (Banking Reform) Act 2013 (Commencement No. 10) Order 2016/512 (C.31) - this Order brings into force on 21 April 2016 certain provisions of the Act in relation to ringfencing.

LIBOR administration transferred from BBA to ICE Benchmark Administration Ltd; EU Directive on benchmarks used as indices has been published in the Official Journal of the EU and will be in force and in effect 18 months after 29 June 2016; UK criminal offence of 'misleading statements etc in relation to benchmarks' (s.91 FSA 2012) in force; from 1 April 2015, 7 new benchmarks were brought within the ambit of FSA 2012 (Order 2015/369). On 2 February 2016, the FCA published final rules which in essence bring forward the implementation of Art 37 MiFIR (these rules took effect as of 1 April 2016). FCA Business Plan 2016/17 notes that supervising the major UK FICC benchmarks is a 'planned activity'. As of 25 April 2016, the Bank of England is the administrator of the Sterling Overnight Index Average (SONIA) interest rate benchmark.

Last updated:

01/12/2017

Overview/summary:

The London Interbank Offered Rate (LIBOR) is a popular reference interest rate, which is calculated by averaging the rates that banks charge when lending to each other. In June 2012 it emerged that bankers had been manipulating the LIBOR rate by submitting inaccurate figures; this led to the Wheatley Review of LIBOR, which published its final report and recommendations in September 2012. Subsequent UK reforms included: making benchmark manipulation a criminal offence; bringing benchmark-setting into the FCA regulated activities regime; and removing LIBOR administration from the British Bankers’ Association and giving it ICE Benchmarks Administration Ltd.

In February 2016, the FCA published PS16/4: Fair, reasonable and non-discriminatory access to regulated benchmarks. The provisions cover benchmarks users who are CCPs, MTFs and regulated markets. The FCA concludes that it is effectively bringing forward to 2016 the implementation of Article 37 of MiFIR (that is expected to apply from 2019). Rules entered into force on 1 April 2016.

The FCA Business Plan 2016/17 (published April 2016) stated that supervising the major UK FICC benchmarks - now regulated as a result of the recommendations of FEMR - was a 'planned activity'.

As of 25 April 2016, the Bank of England is the administrator of the Sterling Overnight Index Average (SONIA) interest rate benchmark. In February 2017, further to the earlier consultation, the Bank of England published a supplementary consultation on reform of SONIA.

In November 2017, The Bank of England and FCA announced that the working group on sterling risk-free reference rates will be given an extended mandate relating to the transition to the SONIA interest rate benchmarks. This will be from January 2018. The press release states "A key near-term priority for the working group will be to make recommendations relating to the potential development of term SONIA reference rates. This work is already underway and a public consultation is planned for the first half of 2018."

There are also separate EU-level proposals for legislation concerned with benchmarks and indices. To read our Reform Tracker item on EU Benchmarks click here.

Publications by date:

January 2013

HMT began consultation on secondary instruments relevant to LIBOR under the Act.

January 2013

ESMA and the EBA issued a joint consultation on the administration of EURIBOR, and the EBA issued advice to national authorities.

11 January 2013

IOSCO publishes consultation on financial benchmarks.

25 March 2013

PS 13/6 published, which outlines the framework for the regulation and supervision of benchmark activities, following CP12/36.

IOSCO published a consultation report on principles for financial benchmarks (CR04/13).

April 2013

ESMA/EBA principles on benchmarks apply.

17 July 2013

IOSCO publishes the final report on Principles for Financial Benchmarks.

18 September 2013

European Commission published legislative proposal for a Regulation on benchmarks (COM(2013) 641/3).

June 2014

Chancellor’s announcement on the Fair and Effective Markets Review (FEMR).

August 2014

FEMR made recommendations to HMT to add further 7 FICC under the regulated scope covering LIBOR.

December 2014

FCA publishes CP14/32.

March 2015

FCA publishes PS15/6 on bringing additional benchmarks into the regulatory and supervisory regime following on from CP14/32.

1 April 2015

7 new benchmarks were brought within the ambit of FSA 2012 (Order 2015/369), along with amendments in the regulatory scope to reflect the needs of benchmarks set without quotes from regulated submitters.

29 July 2015

FCA published thematic review TR15/11 on financial benchmarks.

30 July 2015

The House of Commons’ Scrutiny Committee published its first report of session 2015-16; sections 31 and 32 consider MMFs and benchmarks.

30 July 2015

The Bank of England published a consultation document which outlines proposals for a new sterling money market data collection and the way in which it aims to reform the Sterling Overnight Index Average (SONIA) benchmark interest rate.

3 August 2015

IBA published a second position paper on the evolution of ICE LIBOR and provided a number of proposals (including extending the liquidity pool and extending the eligible counterparty types).

1 October 2015

The FSB published a progress report on FX benchmarks reforms (further to its recommendations in 2014). The report noted that while good progress was being made, it is to be noted that FSB recommendations are intended to apply to all FX benchmarks, not just the WM/Reuters 4pm London fix.

FCA published its 2016/17 Business Plan - in which it lists supervising the major UK FICC benchmarks as a planned activity.

25 April 2016

Bank of England became administrator of the Sterling Overnight Index Average (SONIA) interest rate benchmark.

29 June 2016

The EU Benchmarks Regulation was published in the OJ and will be in force and in effect 18 months after this date.

19 July 2016

FSB published a progress report on implementation of its July 2014 recommendations to reform major interest rate benchmarks. It has found that most progress has been made by EURIBOR, LIBOR and TIBOR, but emphasises that reforms have not been completed, particularly with regard to other IBORs and the development of risk-free rates for benchmarks.

8 August 2016

FCA confirmed that IBA's LIBOR code of conduct is industry guidance for a period of three years from 1 August 2016 or, if earlier, until such time as it is required to be amended in accordance with the EU Benchmarks Regulation.

EMIR entered into force 16 August 2012, but some provisions are yet to enter into effect. The first clearing obligations for certain interest rate derivatives apply as of 21 June 2016.The reporting requirement came into effect 12 February 2014, applicable to all types of derivatives contracts. Various margin requirements for uncleared trades apply as of 1 September 2016 for major market participants. Initial margin requirements are to be phased in from 1 September 2016.

Last updated:

02/02/2018

Overview/summary:

The European Markets Infrastructure Regulation (648/2012) (EMIR) implements the 2009 G20 agreements on over-the-counter (OTC) derivatives clearing in the EU. EMIR applies to all entities that enter into any form of derivative contract, including those not involved in financial services. The Regulation also applies indirectly to non-EU firms trading with EU firms.

EMIR establishes a clearing obligation for certain derivative (e.g. credit, equity, FX, etc.) trades. The identity of the counterparties and the type of derivative contract being traded determines whether or not the trade must be cleared through a central counterparty (CCP).

EMIR creates a reporting requirement that means entities that enter into any form of derivative contract (including interest rate, FX, credit, equity, and commodity derivatives) must report that contract to a trade repository.

EMIR implements new risk mitigation standards, including operational processes and margining, for all OTC derivatives trades which are not centrally cleared (i.e. the class of derivative is not subject to the clearing obligation or the counterparties to the trade do not fall within the scope of the clearing obligation).

EMIR establishes registration and supervision requirements for central counterparties, as well as for trade repositories.

EMIR reforms:

On 4 May 2017, the European Commission adopted a legislative proposal for a Regulation amending EMIR. The Council of the EU published a number of compromise proposals regarding the proposed Regulation in November 2017.

In June 2017, the Commission published a legislative proposalfor a Regulation amending EMIR regarding the procedures and authorities involved for the authorisation of CCPs and requirements for the recognition of third-country CCPs. The Commission published a modified legislative proposal in October 2017.

Publications by date:

4 July 2012

EMIR level 1 published in OJ.

16 July 2012

EMIR technically in force (but not yet in effect).

19 December 2012

European Commission adopted nine RTS and ITS.

Beginning of 2013

Start of the process to determine which OTC derivatives will be subject to the clearing obligation.

ESMA published draft RTS on EMIR's application to third-country entities; these were adopted by the Commission as a Regulation in February 2014.

12 February 2014

The trade reporting requirements came into effect.

March 2014

The final EMIR cross-border RTS published in the EU OJ. They set out the circumstances in which the EMIR clearing obligation, risk mitigation techniques and margin requirements will apply to contracts between two non-EU entities.

April 2014

The European Supervisory Authorities (ESAs) published a consultation paper on draft RTS on the risk management procedures for counterparties in non-centrally cleared OTC derivatives, the criteria concerning intragroup exemptions and the definitions of practical and legal impediments.

11 April 2014

European Commission published consultation on FX financial instruments.

21 June 2014

Commission Delegated Regulation (EU) no 285/2014 supplementing EMIR with regard to RTS on direct, substantial and foreseeable effect of contracts with the Union published in OJ.

19 June 2014

Commission Delegated regulation (EU) no 667/2014 supplementing EMIR with regards to rules of procedure for penalties imposed on trade repositories by ESMA including rules on the right of defence and temporal provisions published in OJ.

July 2014

ESMA launched first round of consultations to prepare for central clearing of OTC derivative in the EU.

8 July 2014

European Commission issued response to ESMA’s letter regarding frontloading requirement under EMIR; this letter was published on the ESMA website. Frontloading should be avoided in cases where it could undermine the overarching objective of the clearing objective to reduce systemic risk.

23 July 2014

European Commission wrote a letter to ESMA regarding the definition of a financial instrument relating to foreign currency (FX contract).

29 September 2014

ESMA published a consultation paper on future guidelines clarifying the definition of commodity derivative as financial instruments under the current MiFID 1.

29 September 2014

ESMA issued a letter to Michel Barnier, Commissioner for Internal Market and Services, outlining the postponement of reports due under Article 85.3 of EMIR together with justification.

1 October 2014

ESMA launched consultation on draft RTS for the clearing of foreign exchange non-deliverable forwards under EMIR.

1 October 2014

ESMA issued a final draft RTS for the central clearing of Interest Rate Swaps.

25 November 2014

ESMA has published a letter it has sent to the EC, announcing that it will delay delivery of the second set of regulatory technical standards on the clearing obligation until the EC has finalised its assessment of the first set.

December 2014

European Commission sent a letter to ESMA informing its intention to endorse with amendments the draft RTS on the clearing obligation for interest rate swaps.

11 December 2014

European Commission confirmed in a press release the adoption of an implementing act extending the transitional period for capital requirements for EU banking groups’ exposures to CCPs under the European Capital Requirements Regulation by six months.

January 2015

ESMA published opinion on draft RTS on the clearing obligation on interest rate swaps in response to the European Commission’s notification to adopt (with amendments) these draft RTS

European Commission published a report that recommends granting pension funds a two-year exemption from central clearing requirements for their OTC derivative transactions.

February 2015

ESMA issued feedback statement on the central clearing of non-deliverable forwards. ESMA is not proposing a clearing obligation on NDFS based on the feedback received following the consultation on the clearing obligation for NDFs

March 2015

Basel Committee on Banking and IOSCO released a revision to the implementation schedule for margin requirements for non-centrally cleared derivatives. A delay of 9 months has been agreed.

March 2015

EMSA published the 12th update to its Q&A on EMIR. This update includes further guidance on the authorisation of CCP services, the clearing obligation and the Regulatory Technical Standards on direct, substantial and foreseeable effect of contracts within the European Union.

27 April 2015

ESMA published a revised Q&A which focuses on level 2 validation that ESMA expects Trade Repositories to implement by the end of October 2015.

ESMA published a CP setting out draft RTS establishing a clearing obligation on further classes of interest rate derivatives that were not included in the first RTS on clearing obligation for interest rate swaps.

10 June 2015

ESAs CP draft RTS as follow up to April 2014 draft

July 2015

ISDA published a classification letter that will enable counterparties to notify each other of their status under EMIR.

6 August 2015

The Commission published the provisional text of the Delegated Regulation it has adopted setting out the RTS for the introduction of a central clearing obligation for OTC interest rate swaps. The clearing obligations will enter into force subject to scrutiny by the European Parliament and Council of the EU and will be phased in over three years to allow additional time for smaller market participants to begin complying.

August 2015

FMLC published paper expressing concern about draft RTS produced by the ESAs

21 September 2015

ESMA has updated its list of CCPs that have been authorised to offer services and activities in the Union in accordance with EMIR.

2 October 2015

ESMA updated Q&A document to include guidance on procedure to be followed by counterparties and trade repositories in order to update counterparty's indentifier in cases where a counterparty obtains LEI or its LEI changes due to a merger/acquisition.

Further to its earlier consultation (14 December 2015 MPOR), ESMA published responses.

5 February 2016

ESMA published ESMA/2016/234: Annual Report on Supervision and 2016 Work Plan.

10 February 2016

European Commission and the US Commodity Futures Trading Commission (CFTC) issued a press release in which they announced they have agreed a common approach on the equivalence of Central Counterparty (CCP) regimes.

ESMA published responses to its earlier consultation on access, aggregation and comparison of trade repository data.

16 February 2016

ESMA published three tables and an updated Q&A:

ESMA/2016/274: Guidelines and Recommendations for establishing consistent, efficient and effective assessments of interoperability arrangements (ESMA/2013/322);
ESMA/2016/273: Guidelines and Recommendations regarding written agreements between members of CCP colleges (ESMA/2013/661);
ESMA/2016/275: Guidelines on the implementation of the CPSS-IOSCO Principles for Financial Market Infrastructures in respect of Central Counterparties (ESMA/2014/1133);

ESMA/2016/293: Q&A XVI on EMIR implementation

18 February 2016

ESMA published a list of UK pension scheme arrangements exempted from the clearing obligation under EMIR.

19 February 2016

ESMA published an updated version of its Public Register for the Clearing Obligation.

Commission Implementing Decision (EU) 2016/377 of 15 March 2016 on the equivalence of the regulatory framework of the USA for central counterparties that are authorised and supervised by CFTC to the requirements of Regulation (EU) No 648/2012 of the European Parliament and of the Council - published in the Official Journal of the EU.

21 March 2016

ESMA published Practical guidance for the recognition of third-country CCPs.

22 March 2016

ESMA and South Korean Financial Services Commission and the Financial Supervisory Service establish an MoU.

4 April 2016

ESMA published an updated EMIR Q&A.

5 April 2016

ESMA published Review of Article 26 of RTS No 153/2013 with respect to MPOR for client accounts.

ESMA published draft technical standards on access to data and aggregation and comparison of data across TR under Article 81 of EMIR.

13 April 2016

ESMA published Opinions regarding the exemption from clearing obligations for pension schemes:

ESMA/2016/592 to 594: Opinions - Exemption from the clearing obligation for pension schemes

ISDA published an updated classification letter that will enable counterparties to notify each other of their status for clearing and other regulatory requirements under EMIR. It covers the clearing obligation for certain interest rate derivatives classes denominated in EEA currencies and certain CDS index classes.

19 April 2016

ESMA added credit derivatives, notably for iTraxx main and iTraxx crossover contracts, to the clearing obligation on the updated register.

Commission Delegated Regulation 2016/592 of 1 March 2016 supplementing Regulation (EU) No 648/2012 of the European Parliament and of the Council with regard to regulatory technical standards on the clearing obligation has now been published in the Official Journal.

21 April 2016

European Commission adopted an amending Delegated Regulation with regard to the time horizons for the liquidation period to be considered for the different classes of financial instruments.

17 May 2016

European Commission published responses following from the 'Call for Evidence' regarding the EU's FS regulatory framework.

26 May 2016

ESMA published final draft technical standards re: MiFIR/EMIR. The report included the standards on indirect clearing under MiFIR and EMIR which clarifies provisions of indirect clearing arrangements for OTC and exchange-traded derivatives and help to ensure consistency and that an appropriate level of protection for indirect clients exists. The standards have been submitted to the Commission.

27 May 2016

Commission Delegated Regulation amending Delegated Regulation (EU) No 153/2013 as regards the time horizons for the liquidation period to be considered for the different classes of financial instruments ((EU) 2016/822) has been published in the Official Journal.

European Commission adopted a Council proposal on the position to be taken by the EU in EEA Joint Committee concerning the incorporation of the Regulations on the ESAs and on and certain related Regulations and Directives (ESRB Regulation, AIFMD and related delegated acts, the Short Selling Regulation and related delegated acts, EMIR and CRA Regulation and related delegated acts).

6 June 2016

ESMA published the text of an MoU agreed with the US Commodities Futures Trading Commission.

ESMA published an updated Q&A re: the clearing obligation.

8 June 2016

European Commission Implementing Regulation regarding extension of the transitional periods related to own funds requirements for exposures to CCPs published in OJ.

10 June 2016

European Commission Delegated Regulation adopted:

Delegated Regulation on RTS on the clearing obligation under EMIR (with accompanying annex).

Further past dates are accessible via the news feed on the RegZone EMIR page here.

The Short Selling Regulation (SSR) (263/2012) in force and effective (since 1 November 2012).

Last updated:

29/11/2016

Overview/summary:

The Short Selling Regulation (SSR) requires that firms notify the regulator – or disclose to the market – if they hold short positions over a certain threshold. Naked short-selling of shares is effectively banned, as is the sale of ‘naked’ Credit Default Swaps related to sovereign debt (i.e. where these are held other than the purposes of hedging). Finally, the Regulations harmonise the powers available to national regulators to restrict short selling in certain circumstances, and also provide ESMA with controversial emergency powers allowing them to act in Member States directly.

ESMA published the third Q&A on the implementation of the Short Selling Regulation

3 June 2013

ESMA published its final technical advice on the Short Selling Regulation.

22 January 2014

(UK) The UK's legal challenge against ESMA's powers under the Short Selling Regulation (SSR) were dismissed.

17 October 2014

European Commission adopted a Delegated Regulation correcting Article 13(3) of Delegated Regulation EU/918/2012 which supplements the Short Selling Regulation (EU 236/2012) concerning the notification of significant net short positions in sovereign debt.

27 October 2014

ESMA issued an opinion regarding the emergency measures introduced by the Italian Market regulator (CONSOB) under the Short Selling Regulation (SSR). The SSR requires ESMA (within 24 hours) to issue an opinion on whether it considers the measure, or proposed measure, necessary to address the exceptional circumstances.

23 January 2015

Commission Delegated Regulation (EU) No 2015/97 of 17 October 2014 correcting Delegated Regulation (EU) No 918/2012 as regards the notification of significant net short positions in sovereign debt was published in the Official Journal.

29 June 2015

EBA issued an official opinion agreeing to a seven-day emergency short selling prohibition proposed by the Hellenic Capital Market Commission (HMCM) under the Short Selling Regulation.

July to December 2015

Over the course of these months, extensions were approved regarding the emergency short selling prohibition proposed by HMCM.

5 January 2016

ESMA published the results of a review of five national competent authorities (NCAs) under the Short Selling Regulation (SSR).

12 January 2016

ESMA issued a negative opinion on a proposed extension of the emergency short selling prohibition, regarding Attica Bank S.A. (ISIN GRS001003011), proposed by HCMC (which expired at 24:00:00 (CET) on 11 January 2016), stating that the proposed extension is neither appropriate nor proportionate.

European Commission adopted a Council proposal on the position to be taken by the EU in EEA Joint Committee concerning the incorporation of the Regulations on the ESAs and on and certain related Regulations and Directives (ESRB Regulation, AIFMD and related delegated acts, the Short Selling Regulation and related delegated acts, EMIR and CRA Regulation and related delegated acts).

BRRD entered into force on 2 July 2014 (Article 124 entered into force on 1 January 2015). BRRD permitted member states to apply the provisions on the bail-in tool from 1 January 2016 at the latest

Last updated:

11/09/2019

Overview/summary:

The Bank Recovery and Resolution Directive 2014/59/EU (BRRD), is a minimum harmonisation directive which introduces an EU-wide framework of rules and powers for the recovery and resolution of credit institutions and investment firms. The BRRD contains the rules that the Single Resolution Mechanism (SRM) applies in SSM-area (Eurozone) Member States.

Publications by date:

6 June 2012

Original draft proposal for BRRD adopted by European Commission.

12 December 2013

European Commission announces political agreement on BRRD

20 March 2014

European Commission announces political agreement on SRM

12 June 2014

BRRD published in Official Journal with the main provisions to be implemented by 1 January 2015;

30 July 2014

Regulation establishing SRM published in Official Journal

19 August 2014

SRM entered into force with some provisions operative from 1 January 2015 and the full SRM operative from 1 January 2016.

EBA published Consultation paper: Draft Implementing Technical Standards on procedures, forms and templates for the provision of information for resolution plans under Article 11(3) of Directive 2014/59/EU of the European Parliament and the Council (EBA/CP/2015/01).

Official Journal: Commission Delegated Regulation (EU) 2015/63 of 21 October 2014 supplementing Directive 2014/59/EU of the European Parliament and of the Council with regard to ex ante contributions to resolution financing arrangements.

January 2015

PRA’s policy statement (PS1/15) on implementing BRRD published.

January 2015

FCA’s policy statement (PS15/2) on implementing the BRRD published.

January 2015

Banking Act 2009 amended to reflect changes to the SRR necessary to implement the BRRD.

January 2015

The UK Government amended provisions in the Insolvency Act 1986 (and other insolvency legislation) relating to preferential debts to reflect the provisions in the BRRD on depositor preference.

March 2015

EBA published technical advice on the delegated acts on critical functions and core business lines (EBA/Op/2015/05).

EBA published Technical advice on the delegated acts on the circumstances when exclusions from the bail-in tool are necessary (EBA/Op/2015/07).

EBA published Consultation Paper: Draft Regulatory Technical Standard on a minimum set of the information on financial contracts that should be contained in the detailed records and the circumstances in which the requirement should be imposed (Article 71(8) BRRD) (EBA/CP/2015/04) .

EBA published Technical advice on delegated acts on the deferral of extraordinary ex-post contributions to financial arrangements (EBA/Op/2015/06).

May 2015

EBA published Final guidance: Guidelines on the minimum list of qualitative and quantitative recovery plan indicators (EBA/GL/2015/02).

EBA published Final report: Guidelines on triggers for use of early intervention measures pursuant to Article 27(4) of Directive 2014/59/EU (EBA/GL/2015/03).

EBA published Final report: Guidelines on the interpretation of the different circumstances when an institution shall be considered as failing or likely to fail under Article 32(6) of Directive 2014/59/EU (EBA/GL/2015/07).

EBA published Final guidelines: on factual circumstances amounting to a material threat to financial stability and on the elements related to the effectiveness of the sale of business tool under Article 39(4) of Directive 2014/59/EU (EBA/GL/2015/04).

EBA published Final guidelines: on the determination of when the liquidation of assets or liabilities under normal insolvency proceedings could have an adverse effect on one or more financial markets under Article 42(14) of Directive 2014/59/EU (EBA/GL/2015/05).

EBA published Consultation Paper: Draft Regulatory Technical Standards On the valuation of derivatives pursuant to Article 49(4) of the Bank Recovery and Resolution Directive (BRRD) (EBA/CP/2015/10).

EBA published Final guidelines: on the minimum list of services or facilities that are necessary to enable a recipient to operate a business transferred to it under Article 65(5) of Directive 2014/59/EU (EBA/GL/2015/06).

July 2015

EBA published Final report: Guidelines on the application of simplified obligations under Article 4(5) of Directive 2014/59/EU (EBA/GL/2015/16).

EBA published Final Report: Draft Implementing Technical Standards on the uniform formats, templates and definitions for the identification and transmission of information by competent authorities and resolution authorities to the EBA for the purposes of Article 4(7) of Directive 2014/59/EU (EBA/ITS/2015/05).

EBA published Final report: Draft implementing technical standards on procedures, forms and templates for the provision of information for resolution plans under Article 11(3) of Directive 2014/59/EU of the European Parliament and the Council (EBA/ITS/2015/06).

EBA published Final draft regulatory technical standards specifying the conditions for group financial support under Article 23 of Directive 2014/59/EU (EBA/RTS/2015/08).

EBA published Final draft implementing technical standards on the form and content of disclosure of financial support agreements under Article 26 of Directive 2014/59/EU (EBA/ITS/2015/07).

EBA published Guidelines specifying the conditions for group financial support under Article 23 of Directive 2014/59/EU (EBA/GL/2015/17).

EBA published Final draft regulatory technical standards on criteria for determining the minimum requirement for own funds and eligible liabilities under Directive 2014/59/EU (EBA/RTS/2015/05).

EBA published Final report: Draft Regulatory Technical Standards on the contractual recognition of write-down and conversion powers under Article 55(3) of Directive 2014/59/EU (EBA/RTS/2015/06).

EBA published Final draft regulatory technical standards on procedures and contents of notifications referred to in Article 81(1), (2) and (3) and the notice of suspension referred to in Article 83 of Directive 2014/59/EU (EBA/RTS/2015/04).

EBA published Consultation paper: Guidelines on the provision of information in summary or collective form for the purposes of Article 84(3) of Directive 2014/59/EU (EBA/CP/2015/18).

November 2015

PRA published modification by consent relating to the transposition of Article 55 BRRD (contractual bail-in).

December 2015

HM Treasury launched a consultation regarding amendments to Banking Act 2009 and FSMA 2000 in order to transpose BRRD in UK law.

December 2015

EBA published revised Guidelines specifying the conditions for group financial support under Article 23 of Directive 2014/59/EU.

EBA published Final report: Draft Regulatory Technical Standards on the valuation of derivatives pursuant to Article 49(4) of the Bank Recovery and Resolution Directive (BRRD) (EBA/RTS/2015/11).

EBA published Final Report: Draft Regulatory Technical Standards and Guidelines on business reorganisation plans under Directive 2014/59/EU (BRRD) (EBA/RTS/2015/12) (EBA/GL/2015/21).

EBA published Final report: Draft Regulatory Technical Standards on a minimum set of the information on financial contracts that should be contained in the detailed records and the circumstances in which the requirement should be imposed (Article 71(8) BRRD) (EBA/RTS/2015/13).

European Commission published Commission Delegated Regulation (EU) …/... of 14.12.2015 correcting Delegated Regulation (EU) 2015/63 supplementing Directive 2014/59/EU of the European Parliament and of the Council with regard to ex ante contributions to resolution financing arrangements (C(2015) 8835).

31 December 2015

FCA published a modification by consent to transpose the Article 55 BRRD ( contractual bail-in) into IFPRU 11.6.

1 January 2016

Contractual recognition of bail-in requirements (Article 55 BRRD) in force and in effect.

29 January 2016

EBA published a letter to the Commission (dated 18 December) in which it asked for an extension to its deadlines for the submission of specific draft technical standards (Regulatory Technical Standards (RTS) and Implementing Technical Standards (ITS)) required under CRD4 and CRR and BRRD.

European Commission adopted Commission Delegated Regulation (EU) of 4.2.2016 specifying further the circumstances where exclusion from the application of write-down or conversion powers is necessary under Article 44(3) of BRRD

EBA published responses to its earlier consultation (27 October 2015) regarding the way in which information should be provided under the BRRD

9 February 2016

EBA published an Opinion outlining its dissent vis-a-vis some of the European Commission's proposed amendments to the EBA final draft Regulatory Technical Standard on the criteria for setting the minimum requirement for own funds and eligible liabilities (MREL).

18 February 2016

Council Decision (EU) 2016/228 of 14 July 2015 on the resolution procedure was published in the OJ.

18 March 2016

European Commission adopted Delegated Regulation on classes of arrangements to be protected in a partial property transfer under Article 76 of Directive 2014/59/EU of the European Parliament and of the Council (C(2016) 1372).

24 March 2016

Commission Delegated Regulation of 23 March 2016 supplementing Directive 2014/59/EU of the European Parliament and of the Council with regard to regulatory technical standards specifying the content of recovery plans, resolution plans and group resolution plans, the minimum criteria that the competent authority is to assess as regards recovery plans and group recovery plans, the conditions for group financial support, the requirements for independent valuers, the contractual recognition of write-down and conversion powers, the procedures and contents of notification requirements and of notice of suspension and the operational functioning of the resolution colleges was adopted.

12 April 2016

ESRB published a working paper Bail-in expectations for European banks: actions speak louder .

20 April 2016

EBA published final Guidelines on the provision of information in summary or collective form the purposes of Article 84(3) of Directive 2014/59/EU.

The following Delegated Regulation was published in the OJ:
Commission Delegated Regulation (EU) 2016/778 of 2 February 2016 supplementing Directive 2014/59/EU of the European Parliament and of the Council with regard to the circumstances and conditions under which the payment of extraordinary ex post contributions may be partially or entirely deferred, and on the criteria for the determination of the activities, services and operations with regard to critical functions, and for the determination of the business lines and associated services with regard to core business lines.

23 May 2016

European Commission adopted two Delegated Regulations with regard to regulatory technical standards specifying the criteria relating to the methodology for setting the minimum requirement for own funds and eligible liabilities and on regulatory technical standards for methodologies and principles on the valuation of liabilities arising from derivatives.

1 June 2016

Commission Delegated Regulation (EU) 2016/860 of 4 February 2016 specifying further the circumstances where exclusion from the application of write-down or conversion powers is necessary under Article 44(3) of Directive 2014/59/EU of the European Parliament and of the Council establishing a framework for the recovery and resolution of credit institutions and investment firms was published in the Official Journal.

2 June 2016

ESMA published a statement reminding firms of their responsibility to act in their clients’ best interests when selling bail-in-able financial instruments and which emphasises that firms must comply with their obligations under MiFID.

Commission Implementing Regulation (EU) 2016/962 of 16 June 2016 laying down implementing technical standards with regard to the uniform formats, templates and definitions for the identification and transmission of information by competent authorities and resolution authorities to the European Banking Authority according to Directive 2014/59/EU of the European Parliament and of the Council, was published in the OJ.

3 August 2016

EBA has published a list of designated resolution authorities across the EC and EEA, including links to websites.

23 August 2016

Commission Delegated Regulation ((EU) 2016/1401) supplementing BRRD (2014/59/EU) with regulatory technical standards for methodologies and principles on the valuation of liabilities arising from derivatives has been published in the OJ. (Available via the first link below.) Commission Delegated Regulation ((EU) 2016/1400) supplementing BRRD (2014/59/EU) with regulatory technical standards relating to business reorganisation plans has been published in the OJ.

30 August 2016

Commission Delegated Regulation (EU) 2016/1434 of 14 December 2015 correcting Delegated Regulation (EU) 2015/63 supplementing Directive 2014/59/EU of the European Parliament and of the Council with regard to ex ante contributions to resolution financing arrangements has now been published in the Official Journal.

5 September 2016

Commission Delegated Regulation (EU) 2016/1450 of 23 May 2016 supplementing Directive 2014/59/EU of the European Parliament and of the Council with regard to regulatory technical standards specifying the criteria relating to the methodology for setting the minimum requirement for own funds and eligible liabilities has been published in the Official Journal.

2 August 2019

The EBA updated its single rulebook Q&A tool to reflect the CRD V Directive, the CRR II Regulation and the BRRD II Directive, allowing stakeholders to submit questions on the legislation. The interactive rulebook will be updated in due course.

Further past dates are accessible via the newsfeed on the RegZone recovery and resolution topic page here.